Have you got the Visa power?

Detail of all IIPM branches

At a time when consumer confidence is in free fall, Visa has launched its new global campaign, which does not urge consumers to go out & spend more

At a time when the global economy is in a downturn and companies are curbing their marketing and advertising spends, global financial services brand, Visa Inc. has unveiled its first unified global campaign on March 4, 2009. The newly launched $140 million campaign by Visa comes with a new tagline – ‘More people go with Visa’. In the process, the company has dumped its three-year-old slogan – ‘Life Takes Visa’. Taking into account the discretionary spending pattern during recession, the new campaign does not talk about going out and spending more but about less ostentatious spending and encourages more usage of a Visa debit card, instead of cash or cheque in a bid to take advantage of the schemes provided by Visa. Asserts Antonio Lucio, Chief Marketing Officer, Visa Inc., “The ‘More people go with Visa’ campaign is an invitation to make the most out of life every day, a powerful message. It’s not about spending more, it’s about using Visa for those things that are important to you everyday.”

By launching a consolidated global marketing campaign, Visa can achieve cost efficiencies, as now the company will not have to come up with different communication strategies for different countries. In the international markets, Visa will launch a TVC titled ‘Gofesto’, that will be customised according to each Visa region. Saurav Bhattacharya, Marketing Director, South Asia, Visa told 4Ps B&M, “With a journey across the globe, the ad will show people enjoying simpler things in life. The idea is to showcase that life is not about collecting possessions but collecting memories & experiences.”

After the US credit card bubble burst, consumers were sucked deep into the credit vortex. The public perception about credit cards plummeted. A ripple effect of all this was also felt by Visa & MasterCard in the debit card segment, even though here they primarily work as card processors and not lenders. As per BrandIndex (a daily measure of public perception of more than 1,100 consumer brands across 32 sectors), in the first two months of 2009, Visa’s overall buzz score fell 5.7%, while MasterCard dropped nearly 10%.

As a result Visa and its newly roped in advertising agency TBWA have embarked on this global repositioning journey to improve the public’s perception of credit and debit cards. The TBWA team has been advised to tread cautiously and not overwhelm consumers with a deluge of advertisements that showcase expensive and ostentatious purchases beyond the means of the common man. After all there is little hope of any gain from pain!

Vareen Ray

For more articles, Click on IIPM Article.

Source : IIPM Editorial, 2009

An Initiative of IIPM, Malay Chaudhuri and Arindam chaudhuri (Renowned Management Guru and Economist).

For More IIPM Info, Visit below mentioned IIPM articles.
The Most Revolutionary Concept In Education PLANMAN CHE CENTRE FOR HIGHER EDUCATION, Supported by IIPM India’s Leading B-School
1500-plus IIPM students placed across the country with 44 bagging international offers
IIPM Admission Detail
IIPM INTERNATIONAL - NEW DELHI, GURGAON & NOIDA
IIPM - Admission Procedure
IIPM, GURGAON
IIPM : EXECUTIVE EDUCATION

Morality, where art thou?

IIPM - Admission Procedure

Most large Indian corporate houses are family run businesses. Be it the Tatas, Birlas or Ambanis; one after the other, the mantle of the company is held by an insider. While Lord Meghnad opines that “regardless of whether there are family run businesses or not, good corporate regulation rules are needed;” Jackson asserts, “India needs strong corporate governance laws to counteract both the nepotism intrinsic to large family run businesses and the fall-out from Satyam’s fraud.” And this is precisely why India needs good corporate governance laws to be enforced. Explains Moriarty, “Uncertainty is one of the biggest threats to public trust & investor confidence.” Stakeholders trust the Directors to create leadership that is competent & ethical in its approach. “While getting regulations right is necessary, it is not sufficient for ensuring ethical practice in the day-to-day operations of firms,” adds Moriarty. There is a dire need for India Inc. to differentiate itself from other emerging markets of the world and therefore restoring investor confidence is of utmost importance, at least for the time being.

The corporate scandal at Satyam has put a blot on the equity of brand India Inc. and has reinforced the need for strong corporate governance laws. For India to regain confidence of its global allies, it will have to resort to certain measures. Asserts Jackson, “Indian companies should take steps to improve internal management controls…” Companies should also focus on enhancing communication with their business allies, partners & stakeholders and practice transparency in their business actions. “Greater transparency will not only show which firms may be at risk, but also, more positively, which firms are strong,” explains Moriarty.

There is also a need for financial watchdogs like SEBI to pull up their socks and enforce laws, which makes it mandatory for companies to allow transparency in the company books. Jackson adds, “India’s Parliament must weigh in judiciously by strengthening corporate governance laws. The government must provide a fair playing field that attracts capital and this cannot happen without corporate governance standards at par with OECD countries.” Asserts Lord Meghnad, “Companies should demand that regulators are independent of all political influences.” Moriarty also recommends that “audit committees, corporate governance committees and compensation committees of the board be comprised of independent directors.”

The damage has already been done and image of Brand India Inc. has been tainted on the world map. And here, there is a lot that India can learn from Korea, which also has innumerable records of corporate scandals (Samsung, Hyundai, Daewoo, et al). Says Jackson, “Like India, Korea is highly reliant on the global economy and has a reputation for nepotism… Korea is no stranger to corporate fraud tarnishing its reputation.” As long as the Satyam case is taken as a one off case, the impact on India Inc.’s global image may not be too substantial or long-lasting. But for other Indian companies, this is a lesson well-learnt. Often, the public is too irrational in its thinking. There may be no connection between two companies, but the public may view one through the lens of another. Besides regulations, instilling corporate ethics is also important, which can be aptly instilled by the Directors of the firm. “Unless India Inc. appears collectively responsive to the outrage over Satyam by improving transparency and corporate governance measures, India Inc.’s reputation as a Mecca for service-based outsourcing may be permanently damaged,” concludes Jackson. Lesson learnt: Never ride a tiger if you know for sure that you can’t get off without being eaten!

For more articles, Click on IIPM Article.

Source : IIPM Editorial, 2009

An Initiative of IIPM, Malay Chaudhuri and Arindam chaudhuri (Renowned Management Guru and Economist).

For More IIPM Info, Visit below mentioned IIPM articles.
1500-plus IIPM students placed across the country with 44 bagging international offers
IIPM set to beat economic slowdown
IIPM Admission Detail
IIPM Programme :- SUPERIOR COURSE CONTENTS
IIPM INTERNATIONAL - NEW DELHI, GURGAON & NOIDA
IIPM, GURGAON
IIPM : EXECUTIVE EDUCATION
Why Study Abroad When IIPM Gives You 3 global Advantages!

From it hub to Killers’ Adda

“If you are in Bangalore and are still alive, you must be grateful to the murderers who have let you live… at least for today. Safety and security deserted this place a long time ago. And to ask us if we expect Bangalore Police to keep us safe is ridiculous!” says Raghavendra, resident of Bangalore’s prestigious retirees’ paradise in Jayanagar, which is fast turning into a killers’ adda.

Is Bangalore safe? This is a question that must be dwelt upon by anyone who is connected in any way to this city. After becoming a soft target for the terrorists within a couple of years, the once exuberant Bangalore is today rapidly turning into a ‘great corridor of burglars and killers’.

On January 20, the dwellers of Jayanagar woke up to the news of the cold blooded murder of three women, all from the same family. The next day, Gayathri, 25, housewife, was found murdered in her apartment.

A quick look at the statistics is scary. Bangalore has seen no less than 20 murders in the first 21 days of the year, which means not a single day has gone by this year that has not brought in the news of spilt blood of the innocent. The body count for the New Year started with the murder of Muniraju, a money lender, on January 2. Later, the city shuddered in fear as 79-year-old Rangan and his 72-year-old wife Vasantha were found ruthlessly murdered in their house in Jayanagar. Thefts, killing for cash and jewelry, murder of women living on their own, murder for vengeance – all these have now become a routine in the city. Even the city police now seem to be quite fed up of these daily crimes, keeping in mind the pace at which Bangalore Police carry out the investigation. The cases, it appears, won’t be solved anytime soon.....Continue

“It’s financial aid, not extortion!”

What action have you taken against your party MLA accused of killing a PWD engineer?
We arrested him within hours of his crime. I asked him to meet me but he sniffed my ploy of getting him arrested from my house and went back to Kanpur. We tracked him down by tracing his mobile calls. We have also arrested almost all the accused and those sheltering them.

If the MLA was extorting money for your birthday contribution, what action did you take against him?
I haven’t asked anyone to raise money for my birthday. BSP workers have for long been celebrating my birthday as arthik sahyog diwas (financial aid day) and they enroll fresh members by getting membership fee of Rs 10 to Rs 100. This not only contributes millions to the party’s kitty but also helps expand its membership base.

If MLA Shekhar Tiwari says he was raising money for my birthday then that is not true and I will teach him a lesson. I know that he was a muscleman even when he was with Samajwadi Party.

Then why did you induct such a criminal in your party and even fielded him in the Assembly elections?
You know, when you are in power, you have several agencies at your command to conduct background checks on any person. But, in opposition you are handicapped and have to reply on the information provided by the person. We did know that Tiwari was a toughie but had no idea that he was a criminal.

But he remains in your party. Are you protecting him?
I told you, I am going to teach him a lesson so that no other BSP worker would dare commit a crime and bring disrepute to the party. We have slapped him with Goonda Act, Gangsters Act and National Security Act. I have instructed my party men to practically ostracise Tiwari and his family. But before expelling him from the party, I want to investigate whether there is a deeper conspiracy, whether he acted at the instance of somebody else. Otherwise, like Amarmani Tripathi he too would simply hop over to the Samajwadi Party after being thrown out of the BSP.....Continue